HomeMy WebLinkAboutShishmaref AEA Grant ApplicationCity of Shishmaref
IV
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Image from Alaska Division of Community & Regional Affairs, AK Community Database Information Summaries
Application for Renewable Energy Fund Grant
Alaska Energy Authority
Round V
Shishmaref Heat Recovery Design & Construction
August 2011
Contents
. Application
. Authorized Signers & Resolution
. Budget
. Letters of Support
. Resumes
Renewable Energy Fund Round 5
ALASM �..� Shishmaref
�) ENERGY AUTHORITY
Grant Application
SECTION 1 —APPLICANT INFORMATION
Name (Name of utility, IPP, or government entity submitting proposal)
City of Shishmaref
Type of Entity: Fiscal Year End
City Government June 30
Tax ID # 92-0039770 Tax Status: For -profit or non-profit ( check one)
Mailing Address:
Physical Address
P.O. Box 83, Shishmaref, Alaska 99772
Shishmaref, Alaska
Telephone
Fax
Email
907-649-3781
907-649-2131
shhclt clerk ahoo.com
1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER
Name
Title
Melanie Weyiouanna
City Clerk
Mailing Address:
P.O. Box 83, Shishmaref, Alaska 99772
Telephone
Fax
Email
907-649-3781
907-649-2131
shhcityclerk@yahoo.com
1.2 APPLICANT MINIMUM REQUIREMENTS
Please check as appropriate. If you do not to meet the minimum applicant requirements, your
application will be rejected.
1.2.1 As an Applicant, we are: (put an X in the appropriate box)
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An electric utility holding a certificate of public convenience and necessity under AS
42.05, or
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An independent power producer in accordance with 3 AAC 107.695 (a) (1), or
X
A local government, or
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A governmental entity (which includes tribal councils and housing authorities);
Yes
1.2.2. Attached to this application is formal approval and endorsement for its project by
its board of directors, executive management, or other governing authority. If the
applicant is a collaborative grouping, a formal approval from each participant's
governing authority is necessary. (Indicate Yes or No in the box )
Yes
1.2.3. As an applicant, we have administrative and financial management systems and
follow procurement standards that comply with the standards set forth in the grant
agreement.
Yes
1.2.4. If awarded the grant, we can comply with all terms and conditions of the attached
grant form. (Any exceptions should be clearly noted and submitted with the
application.)
Yes
1.2.5 We intend to own and operate any project that may be constructed with grant
funds for the benefit of the general public.
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ENERGY AUTHORITY Grant Application Round 5
SECTION 2 — PROJECT SUMMARY
This is intended to be no more than a 1-2 page overview of your project.
2.1 Project Title — (Provide a 4 to 5 word title for your project)
Shishmaref Heat Recovery Project
2.2 Project Location —
Include the physical location of your project and name(s) of the community or communities that will
benefit from your project.
Shishmaref is located at 66.2567' N and-166.07194' W on Sarichef Island in the Chukchi
Sea, just north of the Bering Strait. The maritime climate for Shishmaref involves foggy
summers and winters that keep the Chukchi Sea frozen from mid -November through mid -
June.
The proposed heat recovery project will be located within the community of Shishmaref and
will serve three community owned buildings.
2.3 PROJECT TYPE
Put X in boxes as appropriate
2.3.1 Renewable Resource Type
Wind
Biomass or Biofuels
Hydro, including run of river
Transmission of Renewable Energy
Geothermal, including Heat Pumps
Small Natural Gas
X
Heat Recovery from existing sources
Hydrokinetic
Solar
Storage of Renewable
Other (Describe)
2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply)
Reconnaissance
X
Design and Permitting
Feasibility
X
Construction and Commissioning
Conceptual Design
The Alaska Village Electric Cooperative (AVEC) power plant is an existing facility in
operation. The proposed heat recovery project is a new project that has not been constructed.
2.4 PROJECT DESCRIPTION
Provide a brief one paragraph description of your proposed project.
The City of Shishmaref proposes to design construct a heat recovery system in the
community in accordance with the findings and recommendations of a heat recovery study
conducted by Alaska Energy and Engineering Inc. The project will recover available jacket
water heat from diesel generators that produce electricity at the Alaska Village Electric
Cooperative (AVEC) power plant and convey the heat to core city facilities. The heat
currently produced by the generators is released to the atmosphere via radiators. This project
is estimated to reduce the annual diesel heating fuel consumption of nearby community
buildings by about 7,900 gallons/year. The construction scope will include the installation of
the waste heat transmission line, pumps, heat exchanger, and other system appurtenances.
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ALASHORITY KA
ENERGY
Renewable Energy Fund
Grant Application Round 5
This project will involve coordination with the City of Shishmaref (City), AVEC, and the
Alaska Native Tribal Health Consortium (ANTHC).
2.5 PROJECT BENEFIT
Briefly discuss the financial and public benefits that will result from this project, (such as reduced fuel
costs, lower energy costs, etc.)
Financial/economic benefits
The proposed heat recovery project will reduce diesel fuel consumption by approximately
7,900 gallons each year for delivered heat to end -user buildings. At a delivered fuel cost of
$5.00/gallon, the economic benefit of this fuel reduction is $39,500 per year. This project
will directly benefit end users by significantly decreasing water and sewer costs.
A reliable heat recovery system will reduce the future capital costs associated with the aging
fuel system and generators and will reduce the need for on -site fuel storage capacity.
Other benefits to Alaskan public
Additional benefits include a reduction in carbon footprint, NOx, and Particulate Matter
emissions achieved by eliminating the equivalent of 7,900 gallons of diesel exhaust pollutant,
as well as local economic development during the construction phases of the project.
2.6 PROJECT BUDGET OVERVIEW
Briefly discuss the amount of funds needed, the anticipated sources of funds, and the nature and source
of other contributions to the project.
Estimated cost of design and construction is $327,201. ANTHC has committed to providing
$16,360 directly to this project to fund the project management efforts. This amount
constitutes approximately 5% of the total funds needed for the project. The remaining
$310,841 is requested from the AEA Renewable Energy Fund.
Please refer to the attached Grant Budget Form for details.
2.7 COST AND BENEFIT SUMARY
Include a summary of grant request and your project's total costs and benefits below.
Grant Costs
(Summary of funds requested)
2.7.1 Grant Funds Requested in this application.
$310,841
2.7.2 Other Funds to be provided (Project match)
$16,360
2.7.3 Total Grant Costs (sum of 2.7.1 and 2.7.2)
$327,201
Project Costs & Benefits
(Summary of total project costs including work to date and future cost estimates to get to a fully
operational project)
2.7.4 Total Project Cost (Summary from Cost Worksheet
$ 327,201
including estimates through construction)
2.7.5 Estimated Direct Financial Benefit (Savings)
$ 39,500 / year
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2.7.6 Other Public Benefit (If you can calculate the benefit in Unable to determine a
terms of dollars please provide that number here and dollar value associated
explain how you calculated that number in your application with other benefits.
(Section 5.)
SECTION 3 - PROJECT MANAGEMENT PLAN
Describe who will be responsible for managing the project and provide a plan for successfully
completing the project within the scope, schedule and budget proposed in the application.
3.1 Project Manager
Tell us who will be managing the project for the Grantee and include contact information, a
resume and references for the manager(s). If the applicant does not have a project manager
indicate how you intend to solicit project management support. If the applicant expects project
management assistance from AEA or another government entity, state that in this section.
The City of Shishmaref has been working collaboratively with the Alaska Native Tribal
Health Consortium (ANTHC) to prepare this application. The project manager for this
project is Brad Blackstone, Engineering Project Manager for ANTHC. The resume for Mr.
Blackstone is attached along with skill summaries for key project personnel. Mr. Blackstone
can be reached at (907) 729-4082 or bblackstone@anthc.org.
3.2 Project Schedule
Include a schedule for the proposed work that will be funded by this grant. (You may include a
chart or table attachment with a summary of dates below.)
Field Work ,...
65 % Design, Specs, Estimate
Permitting
100 % Design and Specs
Power Sales Agreement
Prepare Business Plan
Material Procurement .�
Pre -Construction Activities
Project Construction
Final Inspection
Warranty Period & Closeout
Jttl-12 act-12 Jan-13 May-13 Act9-13 Nov-13 Mar-14 Jut7-14 5ep-14 Dec-14
Date
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3.3 Project Milestones
Define key tasks and decision points in your project and a schedule for achieving them. The
Milestones must also be included on your budget worksheet to demonstrate how you propose to
manage the project cash flow. (See Section 2 of the RFA or the Budget Form.)
The schedule below provides an outline of anticipated project activities. The attached full
schedule provides a more detailed schedule of activities. The actual dates for each item
below are dependent on the actual date of the grant award.
Design and Permitting:
• Execute Cooperative Project Agreement: September 2012
• Field Work: September 2012
• Permit Applications: October 2012
• 65% Plans and Specifications: January 2013
• 65% Engineers Cost Estimate: January 2013
• Permit Approval: February 2013
• 100% Plans and Specifications: May 2013
• Negotiated power sales agreements: May 2013
• Final Business Plan: May 2013
Construction:
• Notice to Proceed - June 2013
• Pre Construction Meeting with Community: June 2013
• Construction Start: June 2013
• Construction Completion: August 2013
• Facilities commissioning: September 2013
• Final Inspection: September 2013
• One Year Warranty Inspection: September 2014
• Project Closeout — September 2014
3.4 Project Resources
Describe the personnel, contractors, equipment; and services you will use to accomplish the
project. Include any partnerships or commitments with other entities you have or anticipate will
be needed to complete your project. Describe any existing contracts and the selection process
you may use for major equipment purchases or contracts. Include brief resumes and references
for known, key personnel, contractors, and suppliers as an attachment to your application.
The Alaska Native Tribal Health Consortium (ANTHC) supports the City of Shishmarefis
efforts to design and construct the proposed heat recovery system project to improve
community sustainability. ANTHC has extensive resources to directly support this grant
application and implement AEA -awarded grant projects.
ANTHC currently provides direct services to many Alaskan communities. For this specific
project, ANTHC's Division of Environmental Health and Engineering (DEHE) will offer a
complete range of in-house engineering, project management and construction management
services for project planning, design, construction, project commissioning, and technical
support.
DEHE's procurement process is in compliance with all applicable federal or state
procurement regulations through a well qualified staff of contracting and procurement
specialists. DEHE also has established relationships with term contractors for specialized
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technical services such as cost estimating or geotechnical investigation.
In addition, DEHE supports projects long after construction is complete through dedicated
programs to provide technical assistance and support for operations of constructed facilities
such as water plants, clinics, community -wide water and sewer systems, etc. Program
employees skillfully troubleshoot issues and assist local operators and owners to ensure long-
term system success.
3.5 Project Communications
Discuss how you plan to monitor the project and keep the Authority informed of the status.
For this project, DEHE will use project management software to schedule and plan project
activities and promptly account for project expenditures for time, labor, direct costs, and
indirect costs through the Spectrum financial system. DEHE will assign staff accountants to
generate reports on project finances, and project managers will support the City of
Shishmaref to administer and report on AEA deliverables according to specific project
requirements.
3.6 Project Risk
Discuss potential problems and how you would address them.
Construction projects in rural Alaska have some risk connected with them, which can be
mitigated through appropriate safety measures. A minimal risk is associated with heat
recovery because it is a mature and reliable form of energy conservation. ANTHC has
designed and successfully implemented these systems in rural Alaska communities.
The City of Shishmaref understands the potential risks associated with this project. However,
the benefit that can be realized in reduced diesel fuel consumption by utilizing the existing
heat recovery source outweighs potential risks.
Potential Problem Source
Associated Risk
Mitigation
Lack of understanding of the
The system will be
Thorough and proactive operator
HR system operation
underutilized
training and O&M manuals and
ARUC management and monitoring
of operations to ensure proper use
SECTION 4 — PROJECT DESCRIPTION AND TASKS
• Tell us what the project is and how you will meet the requirements outlined in Section 2 of
the RFA.
• The level of information will vary according to phase(s) of the project you propose to
undertake with grant funds.
• If you are applying for grant funding for more than one phase of a project provide a
plan and grant budget form for completion of each phase.
• If some work has already been completed on your project and you are requesting funding for
an advanced phase, submit information sufficient to demonstrate that the preceding phases
are satisfied and funding for an advanced phase is warranted.
4.1 Proposed Energy Resource
Describe the potential extent/amount of the energy resource that is available.
Discuss the pros and cons of your proposed energy resource vs. other alternatives that may be
available for the market to be served by your project.
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Renewable Energy Fund
Grant Application Round 5
Recovered heat is derived from diesel fuel that has already been purchased and consumed to
generate electricity. Waste heat is a free and constant byproduct of diesel -powered electrical
generators. If not recovered for beneficial use, this heat is expelled to the atmosphere via large
radiators. This project will result in an estimated diesel fuel savings of 7,900 gallons per year.
Effective use of recovered waste heat is imperative to the efficient operation of a utility and a
leading factor in the long-term sustainability of small water utilities. It is essential to first
maximize use of recovered heat prior to looking to other renewable sources of heat.
Pros of Project:
Excellent project payback
Minimal costs for heat recovery system operation and maintenance
Reduced dependence on diesel fuel and potential for fuel spills
Reduced emissions and air pollution
More stable electric rates
New jobs and a more sustainable economy for local people and businesses
Cons of Project:
Minor risks associated with design and construction of heat recovery system
4.2 Existing Energy System
4.2.1 Basic configuration of Existing Energy System
Briefly discuss the basic configuration of the existing energy system. Include information about
the number, size, age, efficiency, and type of generation.
Existing Diesel Power plant
The AVEC Shishmaref power plant consists of four diesel generator sets (gensets) with a total
generation capacity of 1,609 kW. The following gensets are currently operational:
Unit #1 — DD Ser 60 DDEC 4; 1,800 RPM; 363 kW capacity; Installed 6/18/04
Unit #2 — CAT D353; 350 kW capacity; Installed 12/07/76
Unit #3 — CMS K19G2; 1,800 RPM; 397 kW capacity; Installed 3/26/97
Unit #4 — CMS QSX15G9; 499kW capacity; Installed 7/5/06
4.2.2 Existing Energy Resources Used
Briefly discuss your understanding of the existing energy resources. Include a brief discussion of
any impact the project may have on existing energy infrastructure and resources.
The construction and operation of this project will not have a noticeable impact upon the
existing energy resources in our community, except to reduce our community's demand for
traditional energy sources.
4.2.3 Existing Energy Market
Discuss existing energy use and its market. Discuss impacts your project may have on energy
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customers.
The combined heating fuel consumption of the clinic, city office, and water treatment plant is
11,000 gallons/year.
AVEC currently consumes about 110,000 gallons of diesel fuel annually to generate about
1,634,800 Mi/year.
Using jacket water heat recovery, the AVEC power plant has the capacity to provide the
equivalent of about 7,900 gallons of recovered heat annually for use as space heat to core city
facilities. This equates to roughly 72% of the space heating needs of these facilities.
4.3 Proposed System
Include information necessary to describe the system you are intending to develop and address
potential system design, land ownership, permits, and environmental issues.
4.3.1 System Design
Provide the following information for the proposed renewable energy system:
• A description of renewable energy technology specific to project location
• Optimum installed capacity
• Anticipated capacity factor
• Anticipated annual generation
• Anticipated barriers
• Basic integration concept
• Delivery methods
The heat recovery study recommends the following system design:
Hot engine coolant is piped through a plate heat exchanger located at the power plant. Heat is
transferred from the engine coolant to the recovered heat loop without mixing the fluids. The
recovered heat fluid is pumped through arctic pipes to the end -user facilities, and is typically
tied into the end -user heating system using either a plate heat exchanger or cabinet unit heater.
There are no anticipated barriers other than available funding. The heat will be distributed via
underground insulated arctic pipe routed within road right-of-ways and existing utility
easements.
4.3.2 Land Ownership
Identify potential land ownership issues, including whether site owners have agreed to the project
or how you intend to approach land ownership and access issues.
There does not appear to be any conflicts with rights -of -way for the arctic piping between the
power plant and the end -user buildings, as the route is entirely within existing road right-of-
ways and on City and AVEC property. There will need to be a Right -of —Entry Agreement
between AVEC and the end -users to avoid confusion.
4.3.3 Permits
Provide the following information as it may relate to permitting and how you intend to address
outstanding permit issues.
• List of applicable permits
• Anticipated permitting timeline
• Identify and discussion of potential barriers
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Required construction permits include:
Fire Marshal Review (RPSU & Heat Recovery)
City of Shishmaref Building permit
It is anticipated that these permits will be in hand no later than Spring 2013.
4.3.4 Environmental
Address whether the following environmental and land use issues apply, and if so how they will
be addressed:
• Threatened or Endangered species
• Habitat issues
• Wetlands and other protected areas
• Archaeological and historical resources
• Land development constraints
• Telecommunications interference
• Aviation considerations
• Visual, aesthetics impacts
• Identify and discuss other potential barriers
The City has chosen to partner with the Alaska Native Tribal Health Consortium (ANTHC) on
this project. No land issues are anticipated to affect the proposed project. ANTHC will
consider all potential environmental concerns associated with this project. ANTHC has
extensive experience using the comprehensive Indian Health Service (IHS) environmental
review procedures for conducting environmental analyses of all health and sanitation facilities
projects in all stages of development, as outlined in the IHS Environmental Review Manual
issued in January 2007.
During the design stage, consultations will be conducted with applicable federal and state
agencies. Environmental agency and tribal consultations and the analyses of potential
environmental impacts and benefits will be compiled and documented in the environmental
reviews and permit applications as the projects progress into design and towards construction.
All federal and state approvals and applicable permits must be obtained prior to the initiation
of construction activities.
4.4 Proposed New System Costs and Projected Revenues
(Total Estimated Costs and Projected Revenues)
The level of cost information provided will vary according to the phase of funding requested and
any previous work the applicant may have done on the project. Applicants must reference the
source of their cost data. For example: Applicants Records or Analysis, Industry Standards,
Consultant or Manufacturer's estimates.
4.4.1 Project Development Cost
Provide detailed project cost information based on your current knowledge and understanding of
the project. Cost information should include the following:
• Total anticipated project cost, and cost for this phase
• Requested grant funding
• Applicant matching funds — loans, capital contributions, in -kind
• Identification of other funding sources
• Projected capital cost of proposed renewable energy system
• Projected development cost of proposed renewable energy system
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� ; ENERGY ALASKA
Renewable Energy Fund
Grant Application Round 5
The cost information provided in this application is based on ANTHC's many years of
successfully designing and constructing energy related projects throughout Alaska. ANTHC's
ongoing construction management experience allows it to make accurate cost predictions
factoring in anticipated cost increases.
There is no development cost associated with heat recovery as it is a mature, commercially
available technology. Detailed estimated project costs are included in the grant budget form.
Requested Grant Funding, Phase IV Design and Construction: $310,841
Applicant Matching Funds: $16,360
Project Capital Costs: $327,201
4.4.2 Project Operating and Maintenance Costs
Include anticipated O&M costs for new facilities constructed and how these would be funded by
the applicant.
(Note: Operational costs are not eligible for grant funds however grantees are required to meet
ongoing reporting requirements for the purpose of reporting impacts of projects on the
communities they serve.)
The anticipated operating and maintenance costs for the proposed heat recovery project
include cleaning, tuning, monitoring, and testing the following components on a biannual
basis:
(2) heat exchangers — 15-year replacement expectancy
(1) circulation pump — 8- to 10-year replacement expectancy
(1) makeup glycol — Minimal maintenance required
The operating and maintenance costs for a heat recovery system are relatively minimal. The
only moving parts associated with the district heating system are the circulating pumps.
This Application does not include a request for funding for Operating and Maintenance
(O&M) Costs. O&M and replacement costs are considered to be offset by the savings
produced by the project.
The City will be the owner of the heat recovery system and will use our utility staff and assets
to maintain, operate, and sustain the heat recovery system.
4.4.3 Power Purchase/Sale
The power purchase/sale information should include the following:
• Identification of potential power buyer(s)/customer(s)
• Potential power purchase/sales price - at a minimum indicate a price range
• Proposed rate of return from grant -funded project
AVEC is the certified electric utility for Shishmaref, and a heat sales agreement may be
required between AVEC and the end users. If needed, this agreement will define the parties'
responsibilities, establish the cost of recovered heat, and authorize the renovation of the power
plant heat recovery equipment.
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4.4.4 Project Cost Worksheet
Complete the cost worksheet form which provides summary information that will be considered in
evaluating the project.
Please refer to attached Cost Worksheet and Grant Budget Form.
SECTION 5— PROJECT BENEFIT
Explain the economic and public benefits of your project. Include direct cost savings, and
how the people of Alaska will benefit from the project.
The benefits information should include the following:
• Potential annual fuel displacement (gal and $) over the lifetime of the evaluated renewable
energy project
• Anticipated annual revenue (based on i.e. a Proposed Power Purchase Agreement price,
RCA tariff, or cost based rate)
• Potential additional annual incentives (i.e. tax credits)
• Potential additional annual revenue streams (i.e. green tag sales or other renewable
energy subsidies or programs that might be available)
• Discuss the non -economic public benefits to Alaskans over the lifetime of the project
Potential Fuel Displacement
The estimated annual fuel displacement from the heat recovery project is 7,900 gallons/year.
This equates to approximately 230,000 gallons over a thirty-year anticipated useful life of the
proj ect.
Savings for Community
Our community will save approximately $39,500 annually on heating fuel costs, and the
savings can be allocated for community improvements and reduced user fees.
Non -economic Public Benefits to Alaskans
Utilize an existing available energy resource
Demonstrate Shishmaref's commitment to efficiently utilizing existing energy resources
Reduce dependence on diesel fuel and potential for fuel spills
Reduce emissions and air pollution
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SECTION 6— SUSTAINABILITY
Discuss your plan for operating the completed project so that it will be sustainable.
Include at a minimum:
• Proposed business structure(s) and concepts that may be considered.
• How you propose to finance the maintenance and operations for the life of the project
• Identification of operational issues that could arise.
• A description of operational costs including on -going support for any back-up or existing
systems that may be require to continue operation
• Commitment to reporting the savings and benefits
AVEC owns, operates, and maintains electric utilities in multiple small rural communities,
several of which utilize generation heat recovery. AVEC and the local government operate as
partners helping to deliver affordable power to the community.
The project will operate at the same level of detail and consistency as all AVEC power plant
operations. O&M and replacement costs are considered to be offset by the savings produced
by the project.
SECTION 7 — READINESS & COMPLIANCE WITH OTHER GRANTS
Discuss what you have done to prepare for this award and how quickly you intend to proceed
with work once your grant is approved.
Tell us what you may have already accomplished on the project to date and identify other grants
that may have been previously awarded for this project and the degree you have been able to
meet the requirements of previous grants.
AVEC has consulted with ANTHC and the Alaska Energy Authority to further refine the
project elements and identify the steps needed to move project development forward.
Activities accomplished to date:
• A Heat Recovery Study for the proposed Project identifying the scope and estimated
cost completed
• Preliminary site control issues investigated and identified
• Conceptual drawings completed
• Subject to available funding, this project will be ready to advance to construction
beginning in Summer 2013.
SECTION 8— LOCAL SUPORT
Discuss what local support or possible opposition there may be regarding your project. Include
letters of support from the community that would benefit from this project.
ANTHC supports the development of recovered heat in Shishmaref. ANTHC has worked
cooperatively with the City to further refine and define this Project. ANTHC is eager to
develop an available energy resource that will reduce dependency on diesel fuel and help
reduce and stabilize long term electric rates.
All letters of support for this project are attached to this application.
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SECTION 9 — GRANT BUDGET
Tell us how much you want in grant funds Include any investments to date and funding sources,
how much is being requested in grant funds, and additional investments you will make as an
applicant.
Include an estimate of budget costs by milestones using the form — GrantBudget5. doc
The City of Shishmaref is requesting grant funds in the amount of $310,841 for the proposed
heat recovery system design and construction project. In -kind contributions from ANTHC will
total $16,360. To date, no other grant funds or investments have been sought or allocated to this
project.
The section below provides detailed information for each budget category as shown in the
attached Grant Budget form (attached).
Budget Categories:
Direct Labor & Benefits — Amount of requested funds is $138,640 to cover the cost of
engineering staff, which includes permitting and environmental analysis, identification of land
and regulatory issues, detailed energy resource analysis, energy market analysis, assessment of
alternatives, conceptual design, and a business and operations plan. The ANTHC will provide an
in -kind contribution of $16,360 for the project management activities on the project.
Travel and Per Diem — Amount of requested funds is $7,500 to cover the cost of the design
engineers to travel to the City for data collection as well as design review meetings with the
community at each stage of the project.
Equipment — $15,000 for the use of construction equipment, fuel and other related costs.
Materials and Supplies - Amount of requested funds is $92,428 to cover the cost any
construction materials to include, arctic pipe, heat exchangers, circulation pumps and other
related materials needed for the project.
Contractual Services — Amount of requested funds is $5,000 to cover the cost of contractual
services for steel pipe and welding services.
Construction Services — Amount of $30,000 for oversight and technical support of the
construction crew.
Other - Amount of $22,273 for lodging, permitting and licenses, site control, lease/rental for the
construction office and other related costs.
Please refer to the attached Grant Budget worksheet for more detailed budget information.
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SEC'flOW 10 o ADDITIONAL DOCUMENTATION AND CERTIF9CATW
SUBU IY THE FOLLOWING DOCUMEMTS �JndffH YOUR APPLICATION;
Ao Contact infomatlon, resumes of Applican$'s Project Manager, key of}airif, partners,
consultants, and suppliers per application form section 3.1 and 3A. Appftzntt
are asked to separate resumes submitted with applications, if the ondivWuais do
not want their resumes posted.
a. Cost Worksheet per application form Section 4.4.4.
C. Grant Budget Form per appllcaiNon form SecUun 9.
®. Letters demonstrating local support per application form SOCUOn B-
E. An electronic version of tho onUre applicaton on CD Par RFA 3001SOUD 1.7.
F. Authorized Signers Form.
G. Governing Dods Reuo9uftn or other fovmal action ttahen by the applloant's
governing body or management per kIFA Section 1A that:
Commits the organization to provlJde the matching rosources Vav pr gectt at the
match amounts inf9iested in the app96caftn.
- Authorizes the individual who s9gns the applicaU0n hits the authoritr� to
commit the organization to the ob lgaUons under the gvanta
Provides as point of contact to represent the applicant for PuIrP gee of this
application.
Certifies the applicant is in compliance Vi2h applicalblca federal, state, and local,
laws including existing credit and federal U3z oWl gaVons.
H. CERTIFICATION
AEA12-001 Grant Application Page 15 of 15 7/1//2011
-.4),l-uthorazed Signers
Grant Documents Authorized Signers
Please clearly print or type all sections of this form.
Community/Grantee Name: City of Shishmaref
Regular Election is held: 15Tuesday in October bate: August 2, 2011
ei.thnri-yard r;rnnt Sinnarfsl,
Printed Name
Signature
.�A 11
LOA
On
I authorize the above person(s) to sign Grant Documents:
(Highest ranking organization/community/municipal official)
Printed Name
Title
Term
Signature
r'AA,-
qTAVLaj
Mrnn#oo C`.nntrar_f Infnnnatien,
Mailin Address:
PO Box 83
Phone Number:
907-649-3781
Fax Number:
907-649-2131
E-mail Address:
shhcit clerk ahoo.com
Fiscal Year End:
Entity Type (For -profit or non-profit status):
2" Class City
Federal Tax ID #:
Please submit an updated form whenever there is a change to the above information.
Please return the original completed form to
Alaska Energy Authority
813 W. Northern lights Blvd.
Anchorage, AK 99503
Attn: Butch White, Grants Administrator
/41KJALASKA
ENERGY AUTHORITY
C;lur.am�shhr.Ryl 11Appbata\LocaiWBcrosoft\Windows\`temporary Internet
Files\Low\Content.IES\£B6W7LXW\DEHE-#167945-v1-Shishmaref -_Authorized 5igners_-
AEA_grant[1].doc
City of Shishmaref
P.O. Box 83
Shishmaref, AK
Council Resolution for Alaska Energy Authority Funding
Renewable Energy
City of Shishmaref
Resolution ## 12-03
A Resolution requesting Funding from the Alaska Energy Authority, Alaska Renewable Energy
Fund and commitment by the City of Shishmaref
WHEREAS: The City Council of Shishmaref, hereinafter called the City, is a governing body
for the City of Shishmaref, Alaska, and
WHEREAS: The Alaska Energy Authority, hereinafter called AEA., may provide assistance
necessary to help address the energy needs of our community
WHEREAS: The City desires to seek and utilize renewable sources of energy in order to lower
costs for residents while making our community more economically viable and sustainable into
the future in order to guarantee our way of life for current and future generation
WHEREAS: The City authorizes the Alaska Native Tribal Health Consortium to work with The
City to develop, implement and manage the project for which we are seeking funding from AEA
NOW THEREFORE BE IT RESOLVED; that the City hereby requests that the AEA
appropriate $####### through the Renewable Energy Fund to complete the design and
construction of a heat recovery system.
BE IT FURTHER RESOLVED; that the City grants authority to the individual signing this
resolution to commit the City to obligations under the grant
BE IT FURTHER RESOLVED; The City is in compliance with applicable federal, state and
local laws including existing credit and federal tax obligation
BE IT FURTHER RESOLVED; that Alaska Native Health Consortium is hereby authorized
upon execution of a Cooperation Project Agreement to negotiate, execute, and administer any
and all documents, contracts, expenditures and agreements as required for the City and managing
Rinds on behalf of this entity, including any subsequent amendments to said agreements.
BE IT FURTHER ROSOLVED; that the City hereby authorizes the Alaska Native Tribal
Health, Consortium or its representatives to enter upon or cross community land for the purposes
of assisting the City in carrying out this project.
I, the undersigned, hereby certify that the Council is composed of me
mbers of who
constituting a QUORUM were present and that the forgoing resolution was
PASSED AND APPROVED by the Council this nand day of , 2011.
By a vote of 5 Yes, =et_ No, Q— Absent.
sq WRTNI I `` I I PI IO
a�fl
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Attest: Melanie Weyiouam- a, City Clerk
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��: ALASKA Renewable Energy Fund Round 5
!F-)ENERGY AUTHORITY project Cost/Benefit Worksheet
Please note that some fields might not be applicable for all technologies or all project
phases. The level of information detail varies according to phase requirements.
1. Renewable Energy Source — Shishmaref Heat Recovery
The Applicant should demonstrate that the renewable energy resource is available on a
sustainable basis.
Annual average resource availability. 7,900 Gallons
Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel)
2. Existing Energy Generation and Usage
a) Basic configuration (if system is part of the Railbelt' grid, leave this section blank)
i. Number of generators/boilers/other 3
ii. Rated capacity of generators/boilers/other
iii. Generator/boilers/other type Fuel Oil Boilers
iv. Age of generators/boilers/other
v. Efficiency of generators/boilers/other 75% (100,000 BTU/gallon)
b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank)
i. Annual O&M cost for labor $ 100
ii. Annual O&M cost for non -labor $ 200
c) Annual electricity production and fuel usage (fill in as applicable) (if system is part of the
Railbelt grid, leave this section blank)
i. Electricity [kWh]
ii. Fuel usage
Diesel [gal] 11,000 gallons
Other
iii. Peak Load
iv. Average Load
v. Minimum Load
vi. Efficiency 75% overall boiler efficiency (100,000 BTU/gallon)
vii. Future trends
d) Annual heating fuel usage (fill in as applicable)
i. Diesel [gal or MMBtu] 11,000 gallons
ii. Electricity [kWh]
iii. Propane [gal or MMBtu]
iv. Coal [tons or MMBtu]
v. Wood [cords, green tons, dry tons]
vi. Other
1 The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Association, Golden Valley Electric
Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage Municipal Light and Power.
RFA AEA12-001 Application Cost Worksheet Pagel 7-1-11
�&--' ALASKA Renewable Energy Fund Round 5
,-_
4r-_) ENERGY AUTHORITY project Cost/Benefit Worksheet
3. Proposed System Design Capacity and Fuel Usage
(Include any projections for continued use of non-renewable fuels)
a) Proposed renewable capacity Heat Recovery
(Wind, Hydro, Biomass, other)
[kW or MMBtu/hr]
b) Proposed annual electricity or heat production (fill in as applicable)
i. Electricity [kWh]
ii. Heat [MMBtu] 7,900 gallons
c) Proposed annual fuel usage (fill in as applicable)
i. Propane [gal or MMBtu]
ii. Coal [tons or MMBtu]
iii. Wood [cords, green tons, dry tons]
iv. Other
a) Total capital cost of new system $ 327,201
b) Development cost
c) Annual O&M cost of new system $ 300
d) Annual fuel cost
5. Project Benefits
a) Amount of fuel displaced for
i. Electricity
ii. Heat 7,900
iii. Transportation
b) Current price of displaced fuel
c) Other economic benefits
d) Alaska public benefits
6. Power Purchase/Sales Price
a) Price for power purchase/sale
7. Project Analysis
a) Basic Economic Analysis
Project benefit/cost ratio
Payback (years)
$ 5.00 / Gallon
2.42 (AEA Round V RE Fund project economic assessment)
8.3 years
RFA AEA12-001 Application Cost Worksheet Page 2 7-1-11
wa ' I'llm
Alaska Native Tribal Health Consortium
Division of Environmental Health and Engineering
1901 Bragaw Street • Suite 200 • Anchorage, AK 99508-3440 • Phone: (907) 729-3600 • Fax: (907) 729-4090 • www.anthc.org
August 26, 2011
The Honorable Stanley Tocktoo
Mayor, City of Shishmaref
PO Box 83
Shishmaref, Alaska 99772
Dear Mayor Tocktoo:
Re: Shishmaref Letter of Commitment for matching funds to a proposal for Alaska Energy
Authority, Renewable Energy Funds Round V.
It is with pleasure that the Alaska Native Tribal Health Consortium (ANTHC), Division of
Environmental Health and Engineering (DEHE) is partnering with the City of Shishmaref in
your proposed project to the Renewable Energy Fund of the Alaska Energy Authority. Your
project, Shishmaref Heat Recovery Design and Construction, is one of exceptional importance to
the future energy needs of your community and one that ANTHC DEHE fully supports.
In support of your project, ANTHC DEHE will commit $16, 360 as an in -kind match in the form
of project management services. These matching funds will be tracked and reported to you, as
required for purposes of quarterly reporting to the Alaska Energy Authority, in the event that
they award you the project.
We wish you every success on your proposal and look forward to working with you on this
important project.
Sincerely,
3"(UUZN___
Steven M. Weaver, P.E.
Senior Director
AVEC'��
August 23, 2011
Stanley Tocktoo
City of Shishmaref
P.O. Box 83
Shishmaref, AK 99772
Regarding: Letter of Support for the Heat Recovery Project in Shishmaref
Honorable Mayor Tocktoo;
Alaska Village Electric Cooperative, Inc. (AVEC) understands the City of Shishmaref and the
Alaska Native Tribal Health Consortium (ANTHC) are working to prepare a grant application to
help fund a heat recovery project. We understand this project will help to improve the quality of
life for our residents and commercial customers.
We support the investigation of this project and will work with the City of Shishmaref to help
move this endeavor forward. AVEC will also work with ANTHC to ensure any future
construction project would be able to connect and operate in conjunction to the existing power
generation system in Shishmaref.
AVEC supports this development and is pleased to provide this letter in support of this grant
application.
Sincerely,
Meera Kohler
President and CEO
4831 EAGLE STREET :1 ANCHORAGE, ALASKA * PHONE (907) 561-1818 * FAX (907) 562-4086
Resumes